Trends Watch: Alternatives for a Wider Audience

EisnerAmper’s Trends Watch is a weekly entry to our Alternative Investments Intelligence blog, featuring the views and insights of executives from alternative investment firms. If you’re interested in being featured, please contact Elana Margulies-Snyderman.  

This week, Elana talks with Vincent Au, CIO, Gondor Capital Management.

What is your outlook for alternative investments?

I am very positive on the alternative investment industry. 2020 has demonstrated alternative investments deserve to have a prominent place in portfolio construction. There will be a separation between successful strategies and managers from the less successful. The adjustment defining "accredited investor" by the U.S. Securities Exchange Commission was a very positive move for both the investing public and alternative investments. Many investors will now have access to investments from which they were previously shut out. In turn, alternative investments will have the ability to expand their offerings to a wider audience.

What are the greatest opportunities you see and why?

For us, the greatest opportunities are created by the evolution of events and their effects on society, such as COVID-19 and 5G. The challenge and opportunity will be finding companies and industries that are misunderstood, including those who are undiscovered and others that have been abandoned prematurely.

What are the greatest challenges you face and why?

The greatest challenge for me is attracting investors because of our size as allocations tend to favor the giant hedge funds. Despite our performance and the many awards that recognize our accomplishments, it has been very difficult to raise assets as a small minority-owned hedge fund. 

What keeps you up at night?

The current state of society troubles me as I worry especially for my children's future. The combination of politics, politicians, social media and mistrust of mainstream media has made the United States a toxic environment where differences in opinions are no longer accepted, and respect for another’s opinion has been replaced by extremism. People must be reminded the Constitution's First Amendment is not available only to those with whom you agree. 

The views and opinions expressed above are of the interviewee only, and do not/are not intended to reflect the views of EisnerAmper.